June 2012

If a homeowner owes more to their lender than the home is worth, the situation can seem pretty bleak - fortunately it’s not as rough as it sounds.  A short sale is a possible way to negotiate with the lender for a solution that helps everyone out.

The process involves the seller or an agent selling the home to a buyer at market value, or a bit below market value.  The lender agrees to accept the proceeds as payment in full on the mortgage - even if the sale price is actually less than what is currently owed on the property.

The major downside is that a lender is not required to negotiate or accept a discounted payoff, so there is no guarantee that your lender will let you pursue a short sale.

When Short Sales Process - Who Profits?

When you

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When the time comes for you to sell a home in Metro-Detroit, don’t be tempted to start with your ideal price and then mark it up for negotiation and call it good.  That price won’t accurately reflect the true market value of your home, and if you do manage to get an interested buyer their face will more than likely show dissatisfaction once they see the inside of the property.

Pricing competitively without losing money on your home is difficult given the economy right now.  The constant shift between supply and demand can cause huge variances in home values from area to area that ideally should remain consistent. 

Unfortunately, buyers are going where they can find the best deals - so you have to find a careful balance.  Here are several strategies

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We are pleased to announce another great benefit to belonging to our Raving Fan Club. We just bought a 14' Box Truck that is FREE to any of our current or past clients. That's right, it's completely FREE and you can use it anytime it's available for the rest of your life. Just send us an email at info@soldbymarkz.com to reserve it. It's also available to churches, charities, and other non-profit organizations. Just another benefit to using The MARK Z. Home Selling Team for all of your real estate needs.

Buying a home in Metro-Detroit is a great long-term investment, and leaves you potentially sitting on a cash cow as the market begins to recover and home values rise throughout Michigan.  Still, when you take out a mortgage to buy that first home, you also have to factor in the cost of protecting your new investment with homeowners insurance.

The premiums for a good homeowners insurance policy can cost you thousands of dollars per year depending on your coverage, and it’s not something you can do without.  Insurance doesn’t have to be so pricey that it scrapes the bottom of your savings.

When insurers look at Metro-Detroit housing, they base premiums on things like square-footage, estimate rebuild costs, neighborhood data, localized dangers and

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Metro Detroit Home Sales, Prices Spike Over May 2011

Reduced Inventory Results in Higher Overall Median Sales Price

Analysis:

• Average Days on Market (DOM) for the entire MLS decreased from last year by 13 days from 97 days to 84 days.
• Of the 6,325 sales closed in May of this year, 11.6% (735) were identified as short sales
• 46% of all sales this month were identified as CASH SALES
• The median sales price for All MLS rose by 21% as compared to last year

Synopsis of Inventory May 2011 vs. May 2012

• All MLS on-market inventory declined by 17.6% from 33,029 in May 2011 to 27,227 in May 2012
• Approximately 13.41% of the on-market inventory (3,652) is comprised of properties identified as

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There's a huge swell of pride when you purchase that first Northville home or other Metro-Detroit home for sale.  It's yours, you worked hard for it, and you finally get to enjoy the fruits of your labors.  All the emotions can cloud your thoughts and make you lose focus on that investment.  You might already be thinking about upgrades and renovation, but your attention should really be on safe-guarding that new home.

A good Oakland County or Wayne County real estate agent will walk you through the entire process - and that includes helping you understand the best way to settle in and protect your home with insurance and other important items.  When you purchase your new home, there are some critical tools and items to have on hand, and action to take,

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Anytime a lender writes off, or "forgives," debt, it can be considered taxable income to the borrower. The larger the loan that is written off, the larger the potential tax bill that a taxpayer/homeowner may incur. Consider that every $10,000 in debt that is forgiven could incur as much as $1,500 to $3,500 in federal taxes depending on your tax bracket. Put another way, if your home is valued at $100,000 less than the existing debt and the debt is forgiven by the Lender, you as taxpayer could be responsible for a federal tax bill of up to $35,000, in addition to any state and local income taxes.

In recent years, most homeowners who have property that is worth less than the debt on the property, or commonly referred to as "underwater" or who lost

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The end of May brought some great opportunities for buyers looking to find great homes for sale in Northville, Novi, Canton and other communities in Oakland and Wayne counties.  For the fourth week in a row, interest rates on a 30-year fixed-rate mortgage are at record lows, making it even cheaper to purchase a home in southeast Michigan.

30-year fixed mortgages are one of the most popular mortgage packages for first-time home buyers, and with interest rates dipping down to 3.78%, there’s even more savings each month.  When you compare the 4.60% interest rate of last year to the new low, a first time buyer could save around $48 each month for each $100k they borrow towards a new home.

Figure that over a 30 year term that’s a savings of $17,217 when

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